Juice makers have had to face changing fruit prices, cost pressures and a challenging retail environment, including competition from private labels in recent years, with only modest growth predicted for the sector.
Consolidation is also a major trend, with two Japanese giants, Lion and Asahi, already swallowing large companies such as National Foods and P&N Beverages.
This year we also saw Nudie, which became a major player in the category in just over a decade, acquired by Monde Nissin Australia, the local arm of a Philippines-based company.
“After 12 years of picking, squeezing and blending fruit to make our delicious drinks, today we announce that the nudie business has been sold to Monde Nissin,” the company's chief James Ajaka said.
Rising health consciousness has impacted the industry, according to the CEO of the Australian Beverages Council, Geoff Parker.
''The industry needs to get past the sugar issue. Juice is experiencing the wrath of the health zealots who are dragging juice into the sugar demonisation being experienced right across the food chain – but in beverages in particular.”
According to Parker, although juice has naturally occurring sugar, a glass of juice in moderation is perfectly fine and has health benefits.
KEY OPPORTUNITIES
“The biggest opportunity for 100 per cent unsweetened fruit juice is for it to claim back some intrinsic health benefits of that product,” says Parker.
According to Parker, the science is clear-cut that consumers of juice have better overall diet quality than non-consumers – both children and adults.
“We need to continue promoting that moderation – a glass of juice a day – is perfectly fine as part of a varied diet also supported by physical activity,” says Parker.
“A greater percentage of kids go far closer to two serves of fruit a day when juice is included.”
